Simon Akuei Deng, the Commissioner General of the South Sudan Revenue Authority addressing business people in Juba on Friday|Courtesy

The 2024-2025 Finance Act has replaced the previous fixed exchange rate of SSP300 per US dollar with a rate depending on the day-to-day official rate of the Bank of South Sudan, according to the Commissioner General of the South Sudan Revenue Authority.

As of Friday, 06/12/2024, the official rate of a dollar stood at SSP. 3,400.

Simon Akuei Deng was clarifying amendments in the new Financial Act for 2024-2025,  enabling the revenue authority to adjust tax collection based on the official Bank of South Sudan exchange rate.

Mr Akuei acknowledged that while the alignment with the Bank’s rate reflects economic realities, it has introduced challenges in the market.

“Let me begin with the 2021-2022. The rate of the dollar in the Financial Act was only 90 SSP. Then in the Financial Act 2022-2023, the rate of the dollar was equated to 300 SSP, but in the Financial Act 2024-2025, the rate of the dollar has been plotted to the rate of the Bank of South, which is today is about 3400. So, this has caused some issues”, he said on Friday while addressing 300 businessmen and women in Juba.

According to him, with the Financial Act, prices in the market have risen due to the adjusted exchange rate.

“Although the act itself is fair like food commodities are zero rated, but when the food goes up in the market, this is because the rate is equated according to the act, and the rate of the Bank of South Sudan, which is SSP3400.

“So, when you look at SSP3400, it is a bit of a jump, otherwise the Financial Act is fair, except only for the issue of rate which has jumped from 300 to 3400.

To enhance efficiency, Deng announced plans to implement automated tax collection systems aimed at reducing reliance on cash transactions and improving transparency in revenue management.

“The tax collection, we will put automation systems and also provide people touching money.”

The Commissioner General also highlighted his engagement with over 300 businesses to address their concerns in Juba on Friday.

He reassured stakeholders of the government’s commitment to fairness and transparency in taxation policies.